Erdorf, Stefan; Hartmann-Wendels, Thomas; Heinrichs, Nicolas - Cologne Graduate School in Management, Economics and … - 2011
We introduce a new discounted cash flow model which adopts the diversification effectof multi-business firms. We face … growthcharacteristics across the different businesses that a firm operates in. Since the co-movementof business segments depends on the … state of the economy, we use a multivariate copulaapproach taking the state-varying dependence of business segments …